For those cynics out there not yet convinced about the clear benefits of letting two of the dominant powers in the music business merge their dominance - well senior players from BMG and Sony Music are due in Brussels later today to talk you round. They will speak at a two-day hearing into the BMG Sony merger plans.
The Brussels hearing follows the release of a 'statement of objections' to the merger proposal in which EC officials expressed real concerns about the effect further consolidation will have on the music business given the 'market dominance' already enjoyed by the five major record companies.
Insiders at the BMG and Sony have said their people will present a "well evidenced" and "very robust" rebuttal of the Commission's statement of objections. In particular the major labels are likely to question the EC's interpretation of music sales data from which officials deduced that the major labels had too much control over CD pricing. They are also likely to argue that the growing threat of piracy means the music industry is in a different situation now from when European officials turned down two record label merger attempts back in 2000 and 2001.
Although the other three major record labels - EMI, Warners and Universal - are not backing the merger proposals, senior execs at all three will back BMG and Sony in their rebuttal of claims that the majors are already too dominant in the music market. The other majors were hoping that when EC officials objected to the merger their case would centre on the dominance of the two music companies' parent organisations in the wider media and entertainments sector, rather than on the dominance of major labels in the music space.
With the independent labels trade association IMPALA now calling on EC officials to act against the market dominance of the big five even if the BMG Sony merger is blocked, very soon all five major labels could be fighting their corner in Brussels.